BU Now » life insurancehttp://blogs.bu.edu/bunow
News, information and research from Boston UniversityWed, 21 Sep 2011 18:14:24 +0000en-UShourly1http://wordpress.org/?v=4.1.5Insurance policies fund executive payhttp://blogs.bu.edu/bunow/2009/05/20/insurance-policies-fund-executive-pay/
http://blogs.bu.edu/bunow/2009/05/20/insurance-policies-fund-executive-pay/#commentsWed, 20 May 2009 14:17:55 +0000http://blogs.bu.edu/bunow/?p=367Reports are surfacing that big banks are using life-insurance policies to help pay bonuses, pensions, and deferred compensation owed to their executives — with the banks as the beneficiaries. While not illegal, critics complain that the banks get tax breaks for funding such quasi-pensions, then profit when the executives die. School of Management Professor Fred Foulkes, director of the Human Resources Policy Institute and an expert on executive compensation, can offer insight into this novel tactic.